NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Rallies As NVIDIA Gains 5.5%

SP500

SP500 moved towards historic highs as traders reacted to U.S. inflation data. Inflation Rate increased from 3.1% in January to 3.2% in February, compared to analyst consensus of 3.1%. Core Inflation Rate of 3.8% has also exceeded analyst expectations. Analysts forecasted that Core Inflation Rate would decline from 3.9% to 3.7%. Treasury yields moved higher as bond traders bet on a more hawkish Fed. The yield of 2-year Treasuries settled near 4.60%, while the yield of 10-year Treasuries moved above the 4.15% level. Stock traders ignored rising Treasury yields as they remained focused on AI hype. Not surprisingly, tech stocks were among the biggest gainers in SP500 today, while the yield-sensitive utilities and real estate stocks have found themselves under pressure.

SP500 received strong support in the 5100 – 5110 range and moved towards the resistance at 5180 – 5190. A move above the 5190 level will provide SP500 with a chance to gain additional upside momentum.

NASDAQ

NASDAQ gained ground as demand for tech stocks increased. NVIDIA gained 5.5% in today’s trading session as traders used the recent pullback as an opportunity to increase their long positions. Most likely, NVIDIA bulls are waiting for the psychologically important $1000 level.

NASDAQ managed to settle back above the resistance at 18,000 – 18,050 and is moving towards the next resistance at 18,350 – 18,400. RSI is in the moderate territory, so there is plenty of room to gain additional upside momentum.

Dow Jones

Dow Jones is moving higher amid a broad rally in the equity markets. Boeing is the only notable loser in the Dow Jones index today. The stock is down by 4.6% as Southwest Airlines cut delivery forecast from Boeing.

In case Dow Jones manages to stay above the 39,000 level, it will head towards the nearest resistance, which is located in the 39,250 – 39,300 range.

For a look at all of today’s economic events, check out our economic calendar.